Innovation Pharmaceuticals Inc (IPIX)

[Justfactsmam]

CAN'T BE ANY CLEARER......another bogus issue


"...the Company disputes the underlying basis for these (plural) amounts and notified Dr. Menon in November 2019 of the Company’s intent not to pay them."

All of the above disputed invoices were reflected as current liabilities as of June 30, 2021.

10. Related Party Transactions

Pre-clinical Studies

The Company previously engaged KARD to conduct specified pre-clinical studies. The Company did not have an exclusive arrangement with KARD. ...WORK PERFORMED BY KARD NEEDED PRIOR APPROVAL BY THE EXECUTIVE OFFICERS OF THE COMPANY...
...the accrued research and development expenses payable to KARD was approximately $1,486,000 and this amount was included in accounts payable. Dr. Menon, on behalf of himself and KARD, demanded payment of these amounts in October 2019; however, the Company disputes the underlying basis for these amounts and notified Dr. Menon in November 2019 of the Company’s intent not to pay them."

"Contingent Liability" is not an accrued liability... it's a potential liability...IN DISPUTE, AS STATED...but must be listed.

IMO...The reporting of it also reveals the defense against the claim...LEO obviously has determined that Menon went hog wild on this own "research" WITHOUT PRIOR APPROVAL...

Even if approved (which obviously they were not, since if so, the language would not have been included in the K), oftentimes...Billings times and services are not documented properly and are subject to billing abuses...

This happens all the time with large wall street Law Firms overbilling...A challenge to a Legal Billings Invoice inevitably leads
to settlement...often times 30-50%...(based on the billing of associates time for over 24 hours in a day period...a little evidence of billing abuse) AN in the event of "prior approval" required...the INVOICE GOES TO ZERO...

IMO...Menon knows it, ergo...no suit. Salary combined in same "claim"...renders it subject resolving both disputes together...unless he severs salary claim.

Why not sue for salary? Simple...that too could be in the dispute...if he was off doing research not authorized as a Rogue Employee...the company's salary "obligation" to him is questionable. Why pay hundreds of thousands $100-$200k in trying to enforce a "claim" when there are likely material issues with the claim. Better to make a demand and wait for the company to get a windfall and collect on a "nuisance claim".

But likely he knows the value of the intellectual property and progress of Brilacidin and K...why put pressure on his stock? Why try to damage his "investment"

IMO he is OBVIOUSLY A LONG...on IPIX!